XAUUSD H4 Breaks Out of Descending Channel, $4,700–$4,720/Oz Becomes Key Resistance

Currently, gold is trading around $4,702/oz, right within the key resistance zone of $4,700–$4,720/oz. The fact that prices are testing this area after a strong rebound indicates that buyers are still in control, but it also increases the possibility of short-term profit-taking pressure.

The move above both the EMA50 and EMA100 reflects an improvement in recovery momentum. Meanwhile, the H4 RSI around 66 shows that buying pressure remains strong and still has room to extend further. However, as prices are beginning to approach overbought territory, technical pullbacks may emerge if gold fails to break through the current resistance zone.

In the bullish scenario, if XAUUSD closes clearly above $4,720/oz on the H4 timeframe, the recovery could extend toward the next resistance areas around $4,750–$4,760/oz, followed by $4,800/oz. This would confirm that the breakout from the descending channel is not merely a technical rebound, but could develop into a more sustainable recovery phase.

Conversely, if gold is rejected from the $4,700–$4,720/oz zone, prices may retest the nearest support area around $4,640–$4,650/oz. As long as gold holds above this zone, the H4 structure remains tilted toward recovery. However, if prices lose the $4,640/oz area, corrective pressure could extend toward $4,600–$4,610/oz.

07.05.2026

Gold (XAUUSD)

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Disclaimer: The chart reflects the analyst's opinion and does not constitute investment advice. Past performance is no guarantee of future returns. Seek independent advice before making decisions.